Chapter 183: Is It Worth It?
I thought Yanzi Valley was already the center of the outbreak of cosmic contradictions, but I expected that Guan Sha would receive a WeChat message from Du Jing within a few days: Wuhan is locked down!
Du Jing gave a picture, and the news in the picture came from the Wuhan City New Coronavirus Pneumonia Prevention and Control Command.
"In order to do our best to prevent and control the pneumonia caused by the novel coronavirus, effectively cut off the virus transmission route, resolutely curb the spread of the epidemic, and ensure the safety of people's lives and health, the relevant matters are hereby announced as follows:
From 10:00 on January 23, 2020, urban buses, subways, ferries, and long-distance passenger transport in Wuhan will be suspended; for no special reasons, citizens shall not leave Wuhan, airports, and railway stations from Wuhan, and the passage from Wuhan will be temporarily closed. The recovery time will be announced separately.
I would like to ask the general public and passengers to understand and support!
Wuhan City New Coronavirus Pneumonia Epidemic Prevention and Control Command
January 23, 2020”
Guan Sha quickly replied to Du Jing: "Why do you need to seal it?"
Du Jing: "I heard that sars is here again..."
Sars refers to a global infectious disease epidemic that spread in China in 2002 and was not gradually eliminated in mid-2003.
That year, Guan Sha and Du Jing were elementary school students. They heard from the teacher that SARS was contagious and that the school might have suspended classes.
All students are looking forward to suspension of classes and do not really care about what kind of disease sars is.
But what disappointed Du Jing and Guan Sha was that from the beginning of the news of Sars to the end of being eliminated, the school never stopped classes. Everything was as usual, and no one around Guan Sha was infected with Sars.
Sars is highly contagious and severely ill, and quarantine seems to be just something that Guan Sha can only see on TV after she returns home.
"This shouldn't be that serious, right?" Guan Sha was not very scared.
Du Jing shrugged, "I don't know, but it looks quite serious. Why are the city locked down? It seems that Sars didn't have it before?"
"I don't remember... I don't remember, it shouldn't be..." Guan Sha was sitting in front of Xiao Jie's spacious and bright floor-to-ceiling window. During the day, Xiao Jie went out to work, and Guan Sha was the only one at home.
She spent a few days to learn about the development of long-term rental apartments.
Guan Sha wanted to do this. She wanted to help many young people working in big cities like herself solve the problem of stable housing. But this time she was not so impatient that when Shen Li also told her that this was an opportunity, Guan Sha didn't roll up her sleeves immediately and started working.
"Sister Shen Li, I always do whatever I think of before, thinking that it would be efficiency. But whether it is lipstick and makeup or real estate investment consultation, it was proved later that I was too hasty. I thought that fast could save time and be ahead of others. But now I find that if I lack in-depth research before doing something, the more I snatch the time, the more I proved that it would be a waste of time."
"Okay, let's study together." Shen Li said, "Starting from Yanzi Valley, I can do interviews in the community and surrounding areas and collect materials bit by bit. I have a feeling that for me, self-media is also a breakthrough, but this is just my feeling and it may not be feasible. Let me explore it first."
"Okay, okay!" Guan Sha was a little excited.
Although what Chen Li did before was not very high in Guan Sha's opinion, Guan Sha had no doubt about Chen Li's ability and attitude to work. She was always willing to invest 100% of her energy in what she did, which was very rare.
If a person like Chen Li can become his teammate, the probability of success will be increased again.
Guan Sha made a preliminary study and found that the advantages of long-term rental apartments are unified management, simple decoration, and basically real housing resources, which can solve the housing problems of young people in first- and second-tier cities.
The word "appointment" became a hot word on the Internet in 2014 with Lei Jun spending 100 million yuan to invest in you International Youth Apartment.
Since 2015, the government has continuously issued favorable policies, and the long-term rental apartment industry has ushered in rapid development. As of October 2019, the number of long-term rental apartment brands has exceeded 2,000.
Because long-term rental apartments do the work of "second landlords", the source of profit is naturally the "rental difference", but the rent difference is actually not high, that is, the profit is limited. For example, in Japan, where the long-term rental apartment industry is mature, the second-ranked company in the number of rooms, leopalace21, the gross profit margin in 2019 was only 8.31%.
If you want to increase gross profit margin, you have to have enough housing sources in the market to centrally manage, reduce costs, and even gain a certain right to price in the market.
In order to achieve profitability as soon as possible, some companies have used bad ideas to grab housing, such as the Dandan apartment that Guan Sha had encountered before, such as the "high entry and low exit", "long collection and short payment" and "rent loans", and of course, there are also decoration problems that she had not encountered, such as formaldehyde exceeding the standard, etc.
Due to fierce competition and the entire industry has not entered a profit period, the risks accumulated before are slowly being released. In 2019, there were dozens of long-term rental apartments that were rumored to be stormed online.
Because of this, the country's supervision of this industry has begun to increase, and many banks have tightened their loans to long-term rental apartments.
According to relevant research reports of Huajing Securities, the average growth rate of managed rooms in the leading enterprises in the long-term rental apartment industry in 2019 was 19%, a significant decline from the growth rate of 173% in 2018.
Guan Sha frowned and looked at the data in the computer, not knowing what she should do.
The long-term rental apartment industry is very "cooked" no matter how you look at it. The overall environment is not optimistic, but the scale of management rooms of leading companies can still maintain a growth rate of nearly 20%, which shows that this industry still has a lot of room for development.
Guan Sha held her chin with her hands, fell into deep thought, allowing the dazzling sunlight outside the window to shine on her moving cheeks.
Before, Guan Sha liked industries with high gross profit margins, because the gross profit margins were high, which meant that the business model made money easily.
For example, lipstick can be sold for a few dollars at a price of backhand; for example, real estate investment consultation, the cost is nothing more than labor costs and research costs. As long as you rely on the Internet, the customer base will reach a certain level and the profit will be quite considerable.
But long-term rental apartment... Guan Sha grabbed her forehead. The business seems to be a thankless job at the moment. Even the gross profit margin is less than 10%, so the net profit margin must be lower. Therefore, there is no doubt that the business model of long-term rental apartments is contrary to Guan Sha's previous entrepreneurial preferences, especially now that a sudden outbreak of an epidemic related to SARS has emerged. Wuhan has been locked down. Guan Sha doesn't know what the next situation will be. If Qingyang is the next one to announce the lockdown, can young people from other cities still come in?
If young people can't get in, who will the house be rented to?
This business seems to be not worth doing no matter how you look at it...
Chapter completed!